Shein, a Singapore-headquartered online fast-fashion retailer founded in mainland China, is weighing cash payments and additional Class B shares for some late-stage investors.

The move comes as the company prepares for a Hong Kong initial public offering at a valuation of about US$40 billion.

The proposal would apply to investors in Shein’s Series pre-D, D, and D+ rounds who bought in at valuations of up to US$64 billion.

It would lower their effective cost base closer to the planned IPO valuation.

Coatue Management, HSG, and General Atlantic were among investors in those rounds, according to the prospectus.

The planned valuation would be below Shein’s most recent private fundraising in May 2023, when the company was valued at US$66 billion.

Shein’s prospectus showed a US$99 million loss in the first quarter of 2026, compared with a US$395 million profit a year earlier, while revenue rose 1.1% to US$9.05 billion.

Shein has secured approval from the China Securities Regulatory Commission for the Hong Kong float, though further steps, including a hearing, are still pending.

🔗 Source: Bloomberg

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